Enviar búsqueda
Cargar
krugman-obstfeld-ch10.ppt
•
0 recomendaciones
•
130 vistas
F
fedyun1na
Seguir
Trade policy
Leer menos
Leer más
Empresariales
Denunciar
Compartir
Denunciar
Compartir
1 de 28
Descargar ahora
Descargar para leer sin conexión
Recomendados
Pertumbuhan ekonomi dan perubahan struktur
Pertumbuhan ekonomi dan perubahan struktur
sulkhi
Teori Pertumbuhan Ekonomi
Teori Pertumbuhan Ekonomi
msahuleka
Chap08 en-id
Chap08 en-id
Judianto Nugroho
(5) PERUBAHAN STRUKTUR EKONOMI
(5) PERUBAHAN STRUKTUR EKONOMI
Bakhrul Ulum
Industrial development
Industrial development
vanialundina
TRANSFORMASI STRUKTURAL PEREKONOMIAN INDONESIA.pptx
TRANSFORMASI STRUKTURAL PEREKONOMIAN INDONESIA.pptx
Dahlan Tampubolon
Perubahan Struktur Ekonomi Indonesia (Perekonomian Indonesia BAB 4)
Perubahan Struktur Ekonomi Indonesia (Perekonomian Indonesia BAB 4)
Bagus Cahyo Jaya Pratama Pratama
Peran sektor pertanian
Peran sektor pertanian
Nursyidah alit
Más contenido relacionado
La actualidad más candente
Import subtitution industrialization
Import subtitution industrialization
bappykazi
Masalah pokok ekonomi
Masalah pokok ekonomi
ardino ahmad
Bab II pembangunan ekonomi komparatif
Bab II pembangunan ekonomi komparatif
Bambang Deswantoro
Hambatan perdagangan
Hambatan perdagangan
Quinta Nursabrina
Perubahan struktur perekonomian indonesia......
Perubahan struktur perekonomian indonesia......
rosita puspa
Ruang lingkup ekonomi sumber daya manusia
Ruang lingkup ekonomi sumber daya manusia
Ummu Khansa
Industrialisasi di indonesia
Industrialisasi di indonesia
ifa_talita
Chap15 en-id
Chap15 en-id
Judianto Nugroho
Urbanisasi dan migrasi desa kota
Urbanisasi dan migrasi desa kota
Reza Ardyan
10. sejarah ekonomi indonesia
10. sejarah ekonomi indonesia
Yusuf Abidin
Fiscal Policy and Government Expenditure
Fiscal Policy and Government Expenditure
Aquinas College Economics Department
Economic Development Theory
Economic Development Theory
titserRex
Gregory mankiw macroeconomic 7th edition chapter (8)
Gregory mankiw macroeconomic 7th edition chapter (8)
Kyaw Thiha
Model mundell flemming dan Rezim Kurs
Model mundell flemming dan Rezim Kurs
Untari Febrian Ramadhani
Pertumbuhan penduduk dan pembangunan ekonomi
Pertumbuhan penduduk dan pembangunan ekonomi
Lucky Maharani Safitri
Singapur's economic model Office power point
Singapur's economic model Office power point
Aidana Andekina
Financial theory of investment
Financial theory of investment
Dr. Mani Madhavan
MACROECONOMICS-CH7
MACROECONOMICS-CH7
kkjjkevin03
Data envelopment analysis untuk Cost Revenue Profit
Data envelopment analysis untuk Cost Revenue Profit
Akhid Yulianto
Tugas 4 kelas d semester 1 permintaan dan penawaran
Tugas 4 kelas d semester 1 permintaan dan penawaran
Mitto'putraketigaChamelusrhy NagStumpunk
La actualidad más candente
(20)
Import subtitution industrialization
Import subtitution industrialization
Masalah pokok ekonomi
Masalah pokok ekonomi
Bab II pembangunan ekonomi komparatif
Bab II pembangunan ekonomi komparatif
Hambatan perdagangan
Hambatan perdagangan
Perubahan struktur perekonomian indonesia......
Perubahan struktur perekonomian indonesia......
Ruang lingkup ekonomi sumber daya manusia
Ruang lingkup ekonomi sumber daya manusia
Industrialisasi di indonesia
Industrialisasi di indonesia
Chap15 en-id
Chap15 en-id
Urbanisasi dan migrasi desa kota
Urbanisasi dan migrasi desa kota
10. sejarah ekonomi indonesia
10. sejarah ekonomi indonesia
Fiscal Policy and Government Expenditure
Fiscal Policy and Government Expenditure
Economic Development Theory
Economic Development Theory
Gregory mankiw macroeconomic 7th edition chapter (8)
Gregory mankiw macroeconomic 7th edition chapter (8)
Model mundell flemming dan Rezim Kurs
Model mundell flemming dan Rezim Kurs
Pertumbuhan penduduk dan pembangunan ekonomi
Pertumbuhan penduduk dan pembangunan ekonomi
Singapur's economic model Office power point
Singapur's economic model Office power point
Financial theory of investment
Financial theory of investment
MACROECONOMICS-CH7
MACROECONOMICS-CH7
Data envelopment analysis untuk Cost Revenue Profit
Data envelopment analysis untuk Cost Revenue Profit
Tugas 4 kelas d semester 1 permintaan dan penawaran
Tugas 4 kelas d semester 1 permintaan dan penawaran
Similar a krugman-obstfeld-ch10.ppt
Krugman obstfeld-ch10
Krugman obstfeld-ch10
Vandy K.
Trade Policies in Developing Countries
Trade Policies in Developing Countries
Nisha Malhotra
Trade policies in developing Countries
Trade policies in developing Countries
Vaibhav verma
ch07_Krugman_10e.ppt
ch07_Krugman_10e.ppt
NguyenGiang387812
International economic ch11
International economic ch11
Judianto Nugroho
Preconditions of Economic Development
Preconditions of Economic Development
Ahmad Zeeshan
Lesson 6 - What you should learn?
Lesson 6 - What you should learn?
Missws Choi
Season 9 international trade economic analysis of globalization and pol...
Season 9 international trade economic analysis of globalization and pol...
Siavash Javanmensh
International business third sem-unit-3.pptx(1)
International business third sem-unit-3.pptx(1)
Manisha Rajan
Chapter11 KeyIssue4
Chapter11 KeyIssue4
ashleyflood
Emerging Markes [SAV Lecture Notes]
Emerging Markes [SAV Lecture Notes]
Fan DiFu, Ph.D. (Steve)
OCR F585 Economics - Extract 1 - Globalisation and Trade
OCR F585 Economics - Extract 1 - Globalisation and Trade
tutor2u
Ipe09
Ipe09
Jeffrey Hart
Global Economic Envt.pptx
Global Economic Envt.pptx
Shamika22
Reviving U.S. Manufacturing
Reviving U.S. Manufacturing
EconomicPolicyInstitute
Outcomes of Globalisation: Trade for All
Outcomes of Globalisation: Trade for All
Jonathon Flegg
Daniels07 im
Daniels07 im
Keerthi Ram
Export-Oriented Industrialization (EOI): Arguments For and Against What Have ...
Export-Oriented Industrialization (EOI): Arguments For and Against What Have ...
Dr.Choen Krainara
Salient trends of Industrial Relations (IR)
Salient trends of Industrial Relations (IR)
Saurabh Agarwal
Ibm notes
Ibm notes
Pradeep Kumar
Similar a krugman-obstfeld-ch10.ppt
(20)
Krugman obstfeld-ch10
Krugman obstfeld-ch10
Trade Policies in Developing Countries
Trade Policies in Developing Countries
Trade policies in developing Countries
Trade policies in developing Countries
ch07_Krugman_10e.ppt
ch07_Krugman_10e.ppt
International economic ch11
International economic ch11
Preconditions of Economic Development
Preconditions of Economic Development
Lesson 6 - What you should learn?
Lesson 6 - What you should learn?
Season 9 international trade economic analysis of globalization and pol...
Season 9 international trade economic analysis of globalization and pol...
International business third sem-unit-3.pptx(1)
International business third sem-unit-3.pptx(1)
Chapter11 KeyIssue4
Chapter11 KeyIssue4
Emerging Markes [SAV Lecture Notes]
Emerging Markes [SAV Lecture Notes]
OCR F585 Economics - Extract 1 - Globalisation and Trade
OCR F585 Economics - Extract 1 - Globalisation and Trade
Ipe09
Ipe09
Global Economic Envt.pptx
Global Economic Envt.pptx
Reviving U.S. Manufacturing
Reviving U.S. Manufacturing
Outcomes of Globalisation: Trade for All
Outcomes of Globalisation: Trade for All
Daniels07 im
Daniels07 im
Export-Oriented Industrialization (EOI): Arguments For and Against What Have ...
Export-Oriented Industrialization (EOI): Arguments For and Against What Have ...
Salient trends of Industrial Relations (IR)
Salient trends of Industrial Relations (IR)
Ibm notes
Ibm notes
Último
CORPORATE SOCIAL RESPONSIBILITY - FINAL REQUIREMENT.pdf
CORPORATE SOCIAL RESPONSIBILITY - FINAL REQUIREMENT.pdf
Louis Malaybalay
Shopclues: Failure & Solutions in Business Model
Shopclues: Failure & Solutions in Business Model
BhaviniSharma12
How The Hustle Milestone Referral Program Got 300K Subscribers
How The Hustle Milestone Referral Program Got 300K Subscribers
Flyyx Tech
Mist Cooling & Fogging System Company in Saudi Arabia
Mist Cooling & Fogging System Company in Saudi Arabia
opstechsanjanasingh
NewBase 14 March 2024 Energy News issue - 1707 by Khaled Al Awadi_compress...
NewBase 14 March 2024 Energy News issue - 1707 by Khaled Al Awadi_compress...
Khaled Al Awadi
Green Innovations: Wristbands Ireland's Eco-Friendly Products
Green Innovations: Wristbands Ireland's Eco-Friendly Products
Wristbands Ireland
3BBE: THE FUTURE OF ECOMMERCE PRESENTATION - LOUIS MALAYBALAY
3BBE: THE FUTURE OF ECOMMERCE PRESENTATION - LOUIS MALAYBALAY
Louis Malaybalay
pitchdeck ORPC 2019 data info turine.pdf
pitchdeck ORPC 2019 data info turine.pdf
lebob12
Reframing Requirements: A Strategic Approach to Requirement Definition, with ...
Reframing Requirements: A Strategic Approach to Requirement Definition, with ...
Jake Truemper
A Case Study On SQUARE GROUP Bangladesh.pdf
A Case Study On SQUARE GROUP Bangladesh.pdf
meftaul987
WAM Corporate Presentation Mar 12 2024.pdf
WAM Corporate Presentation Mar 12 2024.pdf
Western Alaska Minerals Corp.
Shravan Kumaran and sanjay kumaran.pdf..
Shravan Kumaran and sanjay kumaran.pdf..
ranjithapriya2
Young Woman Entrepreneur - Kaviya Cherian
Young Woman Entrepreneur - Kaviya Cherian
CDEEPANVITA
L-1 VISA Business (Plan Sample) - Plan Writers
L-1 VISA Business (Plan Sample) - Plan Writers
Plan Writers
unfinished legacy it is a clothing brand
unfinished legacy it is a clothing brand
akashm530190
10 Tips for Great Teams CSUN Conference 2024
10 Tips for Great Teams CSUN Conference 2024
Nate Evans
We are inviting you on board, to move forward together in the Right Direction
We are inviting you on board, to move forward together in the Right Direction
Right Direction Aero
PHX Corporate Presentation March 2024 Final
PHX Corporate Presentation March 2024 Final
PanhandleOilandGas
"InShorts: A Game-Changer in the Digital News Age"
"InShorts: A Game-Changer in the Digital News Age"
Adharsh45
Mist Cooling & Fogging System Company in Egypt
Mist Cooling & Fogging System Company in Egypt
opstechsanjanasingh
Último
(20)
CORPORATE SOCIAL RESPONSIBILITY - FINAL REQUIREMENT.pdf
CORPORATE SOCIAL RESPONSIBILITY - FINAL REQUIREMENT.pdf
Shopclues: Failure & Solutions in Business Model
Shopclues: Failure & Solutions in Business Model
How The Hustle Milestone Referral Program Got 300K Subscribers
How The Hustle Milestone Referral Program Got 300K Subscribers
Mist Cooling & Fogging System Company in Saudi Arabia
Mist Cooling & Fogging System Company in Saudi Arabia
NewBase 14 March 2024 Energy News issue - 1707 by Khaled Al Awadi_compress...
NewBase 14 March 2024 Energy News issue - 1707 by Khaled Al Awadi_compress...
Green Innovations: Wristbands Ireland's Eco-Friendly Products
Green Innovations: Wristbands Ireland's Eco-Friendly Products
3BBE: THE FUTURE OF ECOMMERCE PRESENTATION - LOUIS MALAYBALAY
3BBE: THE FUTURE OF ECOMMERCE PRESENTATION - LOUIS MALAYBALAY
pitchdeck ORPC 2019 data info turine.pdf
pitchdeck ORPC 2019 data info turine.pdf
Reframing Requirements: A Strategic Approach to Requirement Definition, with ...
Reframing Requirements: A Strategic Approach to Requirement Definition, with ...
A Case Study On SQUARE GROUP Bangladesh.pdf
A Case Study On SQUARE GROUP Bangladesh.pdf
WAM Corporate Presentation Mar 12 2024.pdf
WAM Corporate Presentation Mar 12 2024.pdf
Shravan Kumaran and sanjay kumaran.pdf..
Shravan Kumaran and sanjay kumaran.pdf..
Young Woman Entrepreneur - Kaviya Cherian
Young Woman Entrepreneur - Kaviya Cherian
L-1 VISA Business (Plan Sample) - Plan Writers
L-1 VISA Business (Plan Sample) - Plan Writers
unfinished legacy it is a clothing brand
unfinished legacy it is a clothing brand
10 Tips for Great Teams CSUN Conference 2024
10 Tips for Great Teams CSUN Conference 2024
We are inviting you on board, to move forward together in the Right Direction
We are inviting you on board, to move forward together in the Right Direction
PHX Corporate Presentation March 2024 Final
PHX Corporate Presentation March 2024 Final
"InShorts: A Game-Changer in the Digital News Age"
"InShorts: A Game-Changer in the Digital News Age"
Mist Cooling & Fogging System Company in Egypt
Mist Cooling & Fogging System Company in Egypt
krugman-obstfeld-ch10.ppt
1.
Chapter 10 Trade Policy
in Developing Countries Prepared by Iordanis Petsas To Accompany International Economics: Theory and Policy, Sixth Edition by Paul R. Krugman and Maurice Obstfeld
2.
Slide 10-2 Copyright ©
2003 Pearson Education, Inc. Chapter Organization Introduction Import-Substituting Industrialization Problems of the Dual Economy Export-Oriented Industrialization: The East Asian Miracle Summary
3.
Slide 10-3 Copyright ©
2003 Pearson Education, Inc. There is a great diversity among the developing countries in terms of their income per capita. Why are some countries so much poorer than others? • For about 30 years after World War II trade policies in many developing countries were strongly influenced by the belief that the key to economic development was creation of a strong manufacturing sector. – The best way to create a strong manufacturing sector was by protecting domestic manufacturers from international competition. Introduction
4.
Slide 10-4 Copyright ©
2003 Pearson Education, Inc. Introduction Table 10-1: Gross Domestic Product Per Capita, 1999 (dollars)
5.
Slide 10-5 Copyright ©
2003 Pearson Education, Inc. From World War II until the 1970s many developing countries attempted to accelerate their development by limiting imports of manufactured goods to foster a manufacturing sector serving the domestic market. The most important economic argument for protecting manufacturing industries is the infant industry argument. Import-Substituting Industrialization
6.
Slide 10-6 Copyright ©
2003 Pearson Education, Inc. Import-Substituting Industrialization The Infant Industry Argument • It states that developing countries have a potential comparative advantage in manufacturing and they can realize that potential through an initial period of protection. • It implies that it is a good idea to use tariffs or import quotas as temporary measures to get industrialization started. – Example: The U.S. and Germany had high tariff rates on manufacturing in the 19th century, while Japan had extensive import controls until the 1970s.
7.
Slide 10-7 Copyright ©
2003 Pearson Education, Inc. Import-Substituting Industrialization Problems with the Infant Industry Argument • It is not always good to try to move today into the industries that will have a comparative advantage in the future. – Example: In the 1980s South Korea became an exporter of automobiles, whereas in the 1960s its capital and skilled labor were still very scarce. • Protecting manufacturing does no good unless the protection itself helps make industry competitive. – Example: Pakistan and India have protected their heavy manufacturing sectors for decades and have recently begun to develop significant exports of light manufactures like textiles.
8.
Slide 10-8 Copyright ©
2003 Pearson Education, Inc. Market Failure Justifications for Infant Industry Protection • Two market failures are identified as reasons why infant industry protection may be a good idea: – Imperfect capital markets justification – If a developing country does not have a set of financial institutions that would allow savings from traditional sectors (such as agriculture) to be used to finance investment in new sectors (such as manufacturing), then growth of new industries will be restricted. – Appropriability argument – Firms in a new industry generate social benefits for which they are not compensated (e.g. start-up costs of adapting technology). Import-Substituting Industrialization
9.
Slide 10-9 Copyright ©
2003 Pearson Education, Inc. Promoting Manufacturing Through Protection • Import-substituting industrialization – The strategy of encouraging domestic industry by limiting imports of manufactured goods – Many less-developed countries have pursued this strategy. • Has import-substituting industrialization promoted economic development? – Many economists are now harshly critical of the results of import substitution, arguing that it has fostered high- cost, inefficient production. Import-Substituting Industrialization
10.
Slide 10-10 Copyright ©
2003 Pearson Education, Inc. • Why not encourage both import substitution and exports? – A tariff that reduces imports also necessarily reduces exports. – Until the 1970s many developing countries were skeptical about the possibility of exporting manufactured goods. – In many cases, import-substituting industrialization policies dovetailed naturally with existing political biases. Import-Substituting Industrialization
11.
Slide 10-11 Copyright ©
2003 Pearson Education, Inc. Table 10-2: Exports as a Percentage of National Income, 1999 Import-Substituting Industrialization
12.
Slide 10-12 Copyright ©
2003 Pearson Education, Inc. Results of Favoring Manufacturing: Problems of Import-Substituting Industrialization • Many countries that have pursued import substitution have not shown any signs of catching up with the advanced countries. – Example: In India, after 20 years of economic plans between the early 1950s and the early 1970s, its per capita income was only a few percent higher than before. Import-Substituting Industrialization
13.
Slide 10-13 Copyright ©
2003 Pearson Education, Inc. • Why didn’t import-substituting industrialization work the way it was supposed to? – The infant industry argument was not as universally valid as many people assumed. • Import-substituting industrialization generated: – High rates of effective protection – Inefficient scale of production – Higher income inequality and unemployment Import-Substituting Industrialization
14.
Slide 10-14 Copyright ©
2003 Pearson Education, Inc. Import-Substituting Industrialization Table 10-3: Effective Protection of Manufacturing in Some Developing Countries (percent)
15.
Slide 10-15 Copyright ©
2003 Pearson Education, Inc. Problems of the Dual Economy Most developing countries are characterized by economic dualism. • A high-wage, capital-intensive industrial sector coexists with a low-wage traditional sector. Dualism is associated with trade policy for two reasons: • Dualism is probably a sign of markets working poorly (market failure case for deviating from free trade). • The creation of the dual economy (an economy that is characterized by economic dualism) has been helped by import-substitution policies.
16.
Slide 10-16 Copyright ©
2003 Pearson Education, Inc. The Symptoms of Dualism • Development often proceeds unevenly and results in a dual economy consisting of a modern sector and a traditional sector. – The modern sector typically differs from the traditional sector in that it has: – Higher value of output per worker – Higher wages – Lower returns to capital – Higher capital intensity – Persistent unemployment (especially in urban areas) Problems of the Dual Economy
17.
Slide 10-17 Copyright ©
2003 Pearson Education, Inc. Dual Labor Markets and Trade Policy • The symptoms of dualism are clear signs of an economy that is not working well, especially in its labor markets. • Wage differentials argument – The wage differences between manufacturing and agriculture is a justification for encouraging manufacturing at agriculture’s expense. – When there is a wage differential, the manufactures wage (WM) must be higher than the food wage (WF). Problems of the Dual Economy
18.
Slide 10-18 Copyright ©
2003 Pearson Education, Inc. Problems of the Dual Economy Figure 10-1: The Effect of a Wage Differential L1 PF x MPLF PM x MPLM OM OF Value of marginal products, wages WM B L2 A WF C Labor employed in manufactures Labor employed in food Total labor supply
19.
Slide 10-19 Copyright ©
2003 Pearson Education, Inc. The Harris-Todaro model • It links rural-urban migration and unemployment that undermines the case for favoring manufacturing employment, even though manufacturing does offer higher wages. – Countries with highly dualistic economies also seem to have a great deal of urban unemployment. – An increase in the number of manufacturing jobs will lead to a rural-urban migration so large that urban unemployment actually rises. • It helps the wage differentials argument to be in disfavor with economists. Problems of the Dual Economy
20.
Slide 10-20 Copyright ©
2003 Pearson Education, Inc. Trade Policy as a Cause of Economic Dualism • Trade policy has been accused both of: – Widening the wage differential between manufacturing and agriculture – Fostering excessive capital intensity • Wage differentials are viewed as: – A natural market response – The monopoly power of unions whose industries are sheltered by import quotas from foreign competition Problems of the Dual Economy
21.
Slide 10-21 Copyright ©
2003 Pearson Education, Inc. Export-Oriented Industrialization: the East Asian Miracle From the mid-1960s onward, exports of manufactured goods, primarily to advanced nations, was another possible path to industrialization for the developing countries. High performance Asian economies (HPAEs) • A group of countries that achieved spectacular economic growth. – In some cases, they achieved economic growth of more than 10% per year.
22.
Slide 10-22 Copyright ©
2003 Pearson Education, Inc. The Facts of Asian Growth • The World Bank’s definition of HPAEs contains three groups of countries, whose “miracle” began at different times : – Japan (after World War II) – The four “tigers”: Hong Kong, Taiwan, South Korea, and Singapore (in the 1960s) – Malaysia, Thailand, Indonesia, and China (in the late 1970s and the 1980s) • The HPAEs are very open to international trade – Example: In 1999, exports as a share of gross domestic product in the case of both Hong Kong and Singapore exceeded 100% of GDP (132 and 202 respectively). Export-Oriented Industrialization: the East Asian Miracle
23.
Slide 10-23 Copyright ©
2003 Pearson Education, Inc. Trade Policy in the HPAEs • Some economists argue that the “East Asian miracle” is the payoff to the relatively open trade regime. – The data in Table 10-4 suggests that the HPAEs have been less protectionist than other, less developing countries, but they have by no means followed a policy of complete free trade. – Low rates of protection in the HPAEs helped them to grow, but they are only a partial explanation of the “miracle.” Export-Oriented Industrialization: the East Asian Miracle
24.
Slide 10-24 Copyright ©
2003 Pearson Education, Inc. Table 10-4: Average Rates of Protection, 1985 (percent) Export-Oriented Industrialization: the East Asian Miracle
25.
Slide 10-25 Copyright ©
2003 Pearson Education, Inc. Industrial Policy in the HPAEs • Several of the highly successful economies have pursued industrial policies (from tariffs to government support for research and development) that favor particular industries over others. • Most economists have been skeptical about the importance of such policies because: – HPAEs have followed a wide variety of policies, but achieved similarly high growth rates. – The actual impact on industrial structure may not have been large. – There have been some notable failures of industrial policy. Export-Oriented Industrialization: the East Asian Miracle
26.
Slide 10-26 Copyright ©
2003 Pearson Education, Inc. Other Factors in Growth • Two factors can explain the rapid growth in East Asia: – High saving rates – Rapid improvement in public education • The East Asian experience refutes that: – Industrialization and development must be based on an inward-looking strategy of import substitution. – The world market is rigged against new entrants, preventing poor countries from becoming rich. Export-Oriented Industrialization: the East Asian Miracle
27.
Slide 10-27 Copyright ©
2003 Pearson Education, Inc. Summary Trade policy in less-developed countries is concerned with two objectives: promoting industrialization and coping with the uneven development of the domestic economy. Government policy to promote industrialization has often been justified by the infant industry argument. Many less-developed countries have pursued policies of import-substituting industrialization. • These policies have fostered high-cost, inefficient production.
28.
Slide 10-28 Copyright ©
2003 Pearson Education, Inc. Most developing countries are characterized by economic dualism. • Dual economies have a serious problem of urban unemployment. The difference in wages between the modern and traditional sectors have sometimes been used as a case for tariff protection of the industrial sector. The HPAEs have industrialized not via import substitution but via exports of manufactured goods. Summary
Descargar ahora